operating system. a ceo surprise, deutsche bank names a new executive. and we give you the roundup on the unwanted 45 lien dollar takeover approach by -- $45 billion takeover approach. scarlet: i am scarlet fu. alix: we have an article by michael regan of bloomberg news who said the word to describe this market is touring. goldman sachs was looking at their sentiment indicator.

it was between 30 and 64 a ninth straight week. scarlet: this will be the trend until labor day. alix: we are getting excited other places. if you look at what is going on with deutsche bank, shares not boring. co-ceos stepping down. deutsche bank shares up five and a quarter percent. that is you'd -- that is u.s. training. the dax and today correction. alix: germany's only major country in the euro area not in a cup -- not in recovery with the pmi. we are seeing action in the treasury market after that wild week last week. --rall urc in berkeley overall you are seeing berkeley saying this is a goodbye here.

scarlet: a rebound in treasuries. let's look at the stories making headlines. apple changed the way people thought music with its itunes. now the company wants a lead role in streaming music. newe unveiled plans for its streaming service for its developers conference at san francisco. apple music will go head-to-head with spotify. on the agenda, a 24 hour worldwide radio station. alix: the greek finance minister says the country can get a deal with creditors in one night if everyone sits down and seriously negotiates. he spoke earlier in berlin. part are ready to play our . to do our homework and stick to , rules that we author with the rest of the europeans and the germans. reforms,ent these

greece needs a missing ingredient, hope. alix: the debt burden needs to be linked to growth. scarlet: president obama is calling on greece to make tough political choices. the president speaking at a news conference at the g7 summit in germany. he says greece has to be serious about economic reform because time is running out. that only oura: g7 partners but the imf and other institutions are presented here, we feel a sense of urgency in finding a path to resolve the situation there. and the wall street journal reporting greece will be financed until march with leftover bank recap funds. alix: a major shakeup at the top for deutsche bank. years as ceo of germany's largest bank. will stay on until next may and the new chief executive will be john cryan, the former cso at ubs.

deutsche bank missed profit targets and the stock was the worst performer among all of its global peers. scarlet: people's financial will business.s management terms were not disclosed. barclays had a possible 180 financials divided -- financial advisors in the u.s.. expected to be completed in mid-november. alix: expectation for inflation kicked up in may. that is according trace the -- according to a study conducted by the federal u.s. bank -- federal reserve bank of new york. that is an increase from 2.7 percent in april's survey. expected inflation three years ahead will then change to 3%. group of seven leaders say they are in agreement for a tense situation in russia and the ukraine. angela merkel says we are ready

to intensify sanctions if the sanction -- if the situation will require you here's the president from this morning's news conference. president obama: there is strong consensus that we need to keep russia to abide by the terms of the agreement. we need to continue to support and encourage ukraine to meet its obligations under minsk. until that is completed, sanctions remain in place. >> sections will remain in place until president vladimir putin on as a peace deal he helped broker in ukraine. that is a look at the top stories in this hour. coming up in the next half hour, hillary clinton draws lines. the presidential candidate will address social and economic policy in a string of upcoming speeches. fifa hopes to regain ground by making women soccer a priority. scarlet: and coding boot camp

programs are exploding. go alix:u sign up you -- sign-up? alix: all of that coming over. scarlet: we're going to cross over to julie hyman at the news desk. apple music confirming what we have been talking about all day, its new subscription plan. it will start at $9.99 per month . this will be available after will be offered a free membership. the radio broadcast live. it matches spotify's previous spotify's premium subscription and compares with pandora, which has no ads and creates radio stations or you the artist you put

in. that is $4.99 per month. the cofounder of beats has been conducting this presentation. it looks like it may be wrapping up at this point, but we have the fully fleshed out details now what exactly apple music will be. in terms of how much music, it looks like it will be 30 million songs available on the service. of we will see how they do versus others -- we will see how they do versus others in the field. scarlet: coming up, jeb bush heads to europe. we will talk about what is behind all of this international travel. ♪

this >> the apple developer conference is underway with tim cook just unveiling the highly anticipated apple music. joining us now from san francisco is daniel ives, managing director at capital markets. of all the different features and services at all is unveiling, which one is of the greatest importance to nvestors? daniel: streaming music is the banner announcement. it is not financially speaking going to move the needle for apple.

it shows apple is going toward the software he's. a believe it will lead to streaming tv and one-stop shop type of device that comes in 2016. streaming music is not them going against spotify in a battle royale, but putting a fence in their backyard. it's really about software. this is really apple --nsitioning from hardware's transitioning. hardware is there bread-and-butter. paysaw some apple announcements, which were pretty important, as well as the watch and app developments. atogether i would call it an minus, b plus conference in terms of what we were expecting. even though today it has all been about hardware for apple, that is where they meet at their

brand. the hardware becomes more commoditized. what separates them? peace asare services we go out into potential wearables beyond the watch, augment reality, apple pay, we saw the rewards program, which is key there. in china, it is really these next-generation areas which is being wed by software. there was a big theme today in the conference. alix: does that mean the stock deserves a higher multiple? 14 times earnings. daniel: and 11 times cash when you factor cash. i really thought -- i really

think we're going to see apple going higher not just in the software recurring piece, but i think the iphone 6 and the china story is still underestimated. that is going to be the head on of the next two or three quarters as well as in china. we begin 2016 and that is what apple is doing for the developers conference. they need to lay out this next generation of growth opportunity in terms of products, software, wearables. what point do we say this is no longer steve jobs apple but tim cook's apple? daniel: iphone continues to be the meat and potatoes for the foreseeable future. looking threes steps ahead.

they can just sit there and not change anything. it is going to be apple pay, wearables. .otentially streaming tv ultimately you look at autos, look at other areas. that is going to be that next generation of growth. opportunity started to lay out here in terms of the software piece. i have never seen a conference where they talked more about software. alix: that pivot to software. scarlet: the cash pile doesn't hurt. an apple car in two years time. alix: we want to get to julie hyman with a look at the market. two energy stocks. julie: of one is notable because

most stocks aren't down today. the majority of stocks are down today. we are talking about exxon and chevron. analysts over the bank of america met with both companies. bullish on exxon then chevron, particularly about their cast positions. chevron is burning cash. he us a said it was oil at $60. exxon is fairly valued where chevron has 20% downside potential. overall negative tenor of the market, that is sent in and of itself notable. down 1.2%.rally at how the stocks perform for the year today, you don't see that much to virgins. exxon down 8%. chevron down 10.5%. we have seen energy stocks

decline. in terms of how investors and analysts view these generally, chevron at the bank of america -- chevron and the bank of america are rated at underperformed. issue, a quickh look on the bloomberg terminal at free cash flow for exxon versus chevron. yellow.is an we are talking about two different stories. i think some investors view oil stocks. there are some distinctions to be made. scarlet: it is really about being able to cover their dividend and through the

communities exxon was the one who said you can do that, you have 3.4% dividend yields. you can grow your dividend. that goes with a free cash flow issue. they were already cutting down there way before oil fell off the cliff. they are making a lot of money. it is not like they were netting a lot of money when oil was a hundred dollars. let's get you a look at the top stories crossing the terminal in this hour. at south carolina, grand jury indicting of a former police officer were -- of the police -- former police officer. the video shows him firing eight times at walter scott as he was running away. alix: the u.s. supreme court has turned away and nra challenge to

a gun law. in recent years gun right activists have been trying and failing to get the supreme court to expand protections under the second amendment. scarlet: two murderers who escaped by cutting through steel walls and pipes remain on the loose. andrew cuomo says investigators are looking to see if the -- to see if outside contractors helped provide the tools that helped them break out of the .uit -- break out of the prison that is an update on the stories at this hour. jeb bush's european vacation before he announces his run as u.s. president. his trip starts in berlin. ♪

scarlet: hillary clinton is rolling out a dozen speeches that will address social and economic policy. clinton has been pretty mum on certain controversial topics. joining us now is the bloomberg politics and managing editor. what is her strategy syriac oh -- what is her strategy here? going to do her first big rally. she is talking about policy issues, such as immigration voting rights. there is still a lot of meat to be put on the bones. it is time for her in a carefully staged a carefully staged way to move from stage one to stage two. alix: former florida governor jeb bush is traveling to europe.

he is going to germany, poland, estonia. and is the purpose of that how is that so different from what hillary clinton is doing come to the stick -- come domestic versus foreign issues? john: jeb bush has traveled a lot. he made a lot of trips abroad. he has never done that as a presidential candidate. areign policy is going to be big topic this year in this year's presidential campaign. the big differentiating point is that jeb bush is going to take some questions on foreign policy while he travels around to those three places you mentioned. scott walker did not do that. chris christie largely avoided doing that. jeb bush must be able to handle himself in as a questions from the press. he thinks that will make a difference and show his on more former -- more firmer footing that some of his rivals. scarlet thing given that hillary

clinton is a former secretary of state anka responsible for policy issues? john: i don't think anyone feels the need to engage at that level. hillary clinton did take a few shots at some republicans by name last week. i don't imagine that either side is going to see much that fit in getting to a dialogue. scrubbing does this say anything about the strategy between democrats and republicans when it comes to domestic versus foreign policy? john: the candidates are running or about to be running. mostly focused on the first step. you have to win the nomination from your party. they think about framing the general election argument.

as they said by implication, secretary clinton. there is a widespread print -- widespread perception there is a lot of trouble. scarlet: do you know if john -- do you know if jeb bush's wife will be joining? john: i do not think she is on this trip. i hope to have the answer by the time we get to "with" at 5:00. their guests will be dr. richard haas, president of the council of foreign relations. they will be speaking live on all of these topics. jeb bush making his first major oversea trip. alix: lindsey graham speaking to

cnn about to none other than caitlyn jenner. jenner described yourself as a republican. he said if caitlyn jenner wants to be safe and have a prosperous economy, vote for me. -- and he's not the only one in the republican party to has welcomed caitlyn jenner with open arms. you also have to point out that caitlyn jenner was not necessarily a democrat begin with. we assumed lb gt americans would be more democrats and republican. it seems like jenner has voted republican. scarlet: she must be excited that lindsey graham reached out

to her. alix: we have been telling you about apple music. here's what he said. >> all of your music in one place. in your hands already, one single app on the iphone. out of thing you will get an inventory of songs for $10 per month. 30 million songs. i'm sure if you dug hard he would find something you like. much more coming up. we will be back.

alix: we want to get to a look at the top headlines this afternoon. homeland security investigators

say they have discovered airport workers with possible links to terror. the infant -- the inspector says securityportation aviation workers were deficient in there were reports of the last couple of weeks that undercover agents were able to in 67 outnned items of 70 attempts. the tsa's acting chief has already been reassigned. coveringd analyst smart phone maker htc warns the nightmare is not over. htc cut quarterly sale projections by more than one third. the price target to be cut by 37%. htc will keep losing market share and keep losing money. global sales of mcdonald's are still falling, but they are falling less than expected. that is seen as a sign of progress under the new ceo. ofe-store sales fell 3/10

1%. analysts were looking at a daschleof 9/10 of 1% to of 1% -- of 1%. viahas secured distribution roku and sony playstation before early july. they joined the ranks of programmers letting viewers watch shows without signing up for the conventional pay-tv. betty liu spoke with the showtime ceo. >> roku has a terrific audience of device owners that we think will be a great target for showtime. sony playstation view cloud-based streaming service, they have a gigantic number of connected playstation's. that is an untapped market for us. we feel really strong about the opportunity there.

alix: the service will be $10.99 per month as long as they have homeland. coming up, apple's developer conference is underway, we are going to run under the biggest highlights, including apple's 's and musice service launch. .ejected again at the close of the next hour it shakeup.suite all of that and more coming up on the bloomberg market day. stock we are watching closely today is deutsche bank. investors welcome a new management overhaul to germany's largest bank. john cryan will be the next ceo. german chancellor angela merkel spoke about the executive change, appearing not surprised. : it was a decision

taken by the company. it is not really a surprise. i don't really want to comment on that. i want deutsche bank to be they take their own decisions, as does any other company in germany. ousting in a bloomberg tv interview he welcome to the resignations. he gave three reasons why the change was needed. >> this was an absolute shock, just a few weeks ago they were giving us responsibility to on june james. it looked like the management team was in place, they succeeded getting through the shareholder meeting. it certainly looked like they were going to give them another year to prove that they can get their strategy through. nobody would see john privacy likely successor. john cryan bring

to deutsche bank as it implements the new strategy laid out? cryan is actually very crisis experienced. he came in as the cp -- as the cfo in 2008 when the bank was taking huge losses. the subprime mortgage market was collapsing. the bank was profitable again when he left in 2011. he has this reputation of being someone who can crunch and understand the numbers. that is something deutsche bank needs right now. one -- john kline will take the reins as the new deutsche bank ceo on july 1. here is another story that caught my eye, if you are looking for a new job or career change, listen up. the graduation rates are exploding.

16,000 students will graduate from programming camps. intensive training programs teach students how to create websites and mobile apps in two to six months. starting salaries are more than $65,000. sounds like a ton to me. be $172venue will million in 2017. that is a 52 million from just last year. i don't think that is going to work for me. it is good to know i might have a backup. stay with us, we're looking at a doubt just off by a few points.

alix: emily chang has been inside the conference and the comfy just unveiled its revamped using service. what was the feeling in the room? drake i'm disappointed did not perform. he came on stage to talk about the service but no performance. we did get a good performance from the cofounder of eads. he has the most magical presence of everyone at the keynotes today. said three more things, invoking some of jobs favorite words.

like apple, it seems is trying to be a lot in one. it is a radio service and they are trying to be a social network. there may be a few services out here who do this. apple isn't always first and certainly not last. apple trying to revolutionize how we listen to music. this radio service will be on all the time, curated by human beings. internet radio is not just really radio, this apple radio --vice will be curated by's by real human djs. alix: let's talk about that pricing. is $10 and f to compete with spotify? isn't enough to distinguish apple from a me to product?

emily: we don't know. 30 million song sounds like a lot of songs. they are really reaching out across the music community. listen to pandora for free, why would i want to listen to a global radio service that is exactly music of my choosing. pandora lets me curate my own radio station. there are a lot of questions around this service. leap apple taking a huge in terms of this is the business that they have revolutionized in the beginning. apple is trying to get out front of the business. one of the other interesting things we had here today, not just what is a news, but who was presenting that news. saw the first two women presenters on stage. jennifer bailey introducing new features for apple pay.

certainly that is a sign of tim cook. this is a guy who cares a lot about diversity, who cares a lot about social progress. was another thing that got a lot of applause here. alix: if you had to pick one thing with a lackluster response, what was it? annalee bank there were a few lackluster responses throughout the show. we saw a lot of refinement updates to the ios. operating system software, , all of these little things apple is using to refine the experience and all the things we do with our apple products. a lot of interesting stuff coming out with regard to the watch. just goes to show how fast rings can develop and move when it comes to software.

the experience is much more efficient, much more quick. controlling all the appliances in the house. not quite there yet. alix: we will be checking back with you in just a few minutes. 50 minutes before the closing bell. off by about 50 points. julie hyman has the action. julie: let's start with the casinos. wind has consistently been the worst performance in the s&p 500. there has been a lot of action in these stocks as of late. today was sparked by wells fargo analysts saying it was worse than we tend to see in this time

of year. those stocks trade lower. downward pressure has been within the airline group. had a lot of capacity concerns and the airlines growth capacity will have a negative of act on pricing. in on hear them weighing this issue today, saying airline recovery will be somewhat muted, versus prior expectations, doing parts not just to the capacity issues but the u.s. economy more broadly. delta, even the stock was on the favorite list. his spirit is also trading lower in today's session. that stock is down 2%. i have an index of airlines. in a bear market from where we are were earlier in the winter and now down about 22% for the year to date. if you take it back further and --k at the five-year is

five-year, this has been an upward trend in these airlines. something to note when we look at this recent pullback. of i also want to talk about what we are seeing volatility wise for stocks and all asset classes. we have seen a pic above volatilities and bonds and other asset classes. look. a more macro you are seeing the vixen the orange. despite a decline in stocks, the fix is rising. this is the stock that measures volatility for the european stock. still in avila -- still an elevated level of volatility. are we going to see u.s. stocks cut -- see u.s. stocks catch up to bonds?

we have seen an uptick of volatility that just hasn't manifested here. you have the transports losing a little steam there. thank you so much julie hyman. now for a look at top stories making headlines at this hour. prison officials are recommending that oscar be released from prison and house arrest. he was convicted of a chart similar to manslaughter for shooting his girlfriend. he was sentenced to five years in jail. south africa's supreme court of prosecutors'sat appeal for the acquittal on a murder charge. the stanley cup final shift to chicago for its third game. the best-of-seven series is tied 1-1 after anaheim winning game two. the fourth game will be in chicago. people are hanging onto a piece .f history american pharoah became the

first triple crown winner in 30 years. cash it in. get $3.80.g to if you hold a past march 21st 2016, that money is returned. learnstudy says kids can as much from sesame street as they do from preschool. it found that children who watched sesame street are more likely to stay at the appropriate grade level for their age. that is a look at the top stories at this hour. still ahead on the bloomberg a $45 day, a target of billion takeover bid from the santo. -- from monsanto.

alix: emily chang is at the event with game developer tim sweeney. take it away. emily: lot of excitement in the games community. the improvement for games on apple computers is about 10 times better. a dramatic improvement. emily: how long have you been waiting for apple to do this? tim: apple created the metal ati, a low-level graphic chip. it is inspired by the graphics interface on consul machines. e machines.l emily: how big a -- how big is this for u.s. a developer? can create games that

are graphically much richer, especially with dynamic objects, destructible environments, huge numbers of realistic objects. those are the things it will enable us to do. emily: what does this mean with the entertainment and gaming community moving forward with virtual reality? tim: all these moves require graphic performance. is a keymprovement enabling technology. i think it will accelerate the pace of development for all these markets. biggest news and on announcedhen apple swift. what does that mean? debuted its last year it was for apple platforms, ios devices. and this brings it to every platform. you can make software for pc and the web. this programming

language for developing software anywhere. emily: we saw changes to the ipad, the new software, what stands out to u.s. the biggest deal here today? along with the new music service. tim: it is a dramatic unveiling for apple. sourcing and programming language means it can go anywhere. it is an incredible move for apple. want this tog they be the service for everybody. going up the onto the traditional world of apple devices, that is clear for the industry. emily: you will pay for that every month? you will pay for one radio station? tim: that is an amazing deal. really only something apple can negotiate.

much. thank you so i will send it back to you. emily chang with epic games founder tim sweeney. for monsanto has been rejected. monsanto is trying to sweeten the $45 billion bid by offering a $2 billion breakup fee. notenta not bunching -- touching. .- not budging anding me is alan bjerga m&a reporter ed hammond. on top of a $45 billion bid, a lot or underpriced? ed: it is a big figure. if they paid it it would be the fourth or fifth largest paid breakup fee for antitrust. what syngenta and

has been arguing about, it is not a lot. we think they are asking between 10% and 13% of the overall transaction. whether it's been software is slightly above, it would move the break. they want a big break for these reasons. a huge execution risk. that involves some antitrust risk. any deal is going to take a long time to go through. will take them out of the market for a minimum of nine months per year. if you want to do that it will cost you. alix: do farmers want this to go through? alan dang you take a look at something that controls 40% to -- 40% of the seat market.

seed prices are triple what they .ere 20 years ago monsanto has a lot in that market. we would be spinning off businesses and properties. we want to make sure this is a clean merger. if you are in agriculture you how to make sure you know this benefits us. some larger players will talk about the economy at scale. this justry about because it sends it's a signal that the limited number of players can become even smaller. alix: hundreds of millions of dollars could be invested in education and research. the companies will in essence be lost if monsanto is allowed to go through with this corporate thersion scheme and what is

will of congress to let something like this even happened? ed: the inversion part, it would create enormous tax savings. that said they have looked at this deal in the past when it would have been an inversion. come outnment has really swinging against companies. we haven't seen an inversion for a long time. the will of the government to let this through would be extremely low. it would be yet another impediment to getting this done. to do it and invert, execution risk goes up even more. alix: what is the power of the

farmer lobby? alan bank some of your larger groups are not sympathetic to the idea that the economy is scale. dick durbin is originally from east st. louis illinois. have somebody who would be in your own backyard who doesn't think this is a good republicans may be willing to let some of these mergers go through. that is not a good political sick no. political signal. alix: thank you so much. up on bloomberg market day, we are going to count you down to the closing bell. closing stocks dropping to a one-month low.

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alix: we are moments away from the closing bell. this is bloomberg market day. i'm alix steel.

[closing bell ringing] at stocksoking deteriorating a little bit as we head into the close, the dow off i 82 points, the s&p off my 13. doware looking at the closing at a two-month low, the biggest three-day losing streak since march. the nasdaq also closing at the lowest level since mid-may. looking at stocks closing for the dow around the session low. joining me now is joe weisenthal. part of the story was those transports like airline stocks weighing on stocks that got a downgrade. as goes the transports, so goes the dow. joe: the biggest story was the most important companies of the world, the apple worldwide developer conference. it wasd